A period when cryptocurrency miners shut down their operations because mining is no longer profitable, typically during prolonged price declines. As miners sell their holdings to cover operational costs, it creates additional selling pressure. Miner capitulation often signals a market bottom, as weak miners exit and the network hash rate drops before recovering.
Example
“During the 2022 bear market, Bitcoin miner capitulation was evident as the hash rate dropped 15% and large mining firms sold thousands of BTC to meet debt obligations.”